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According to the World Bank, Colombia’s economy grew 0,6% in 2023. Even though economic instability is something recurrent in the news nowadays, the economy has been able to grow steadily thanks to solid macroeconomic policies that have allowed the country to correct the imbalances that surfaced during the COVID-19 Pandemic. In addition, as reported by Trading economics, the production sectors that mostly contributed to growth were: Finance and insurance, communications, artistic activities, and real estate
Colombia is a tempting prospect and a hot spot for investment due to its attractive business environment, talented human resources, and ideal platform for exports, investment incentives, geographic position, and even the government exemption from income tax for tourism projects late-yield crops.
For those interested in starting their own business and asking — ‘Do I need a business visa in Colombia?’ — the answer is yes. And the best way to ensure getting the Visa type M Business is through an experienced visa services agency that has already guided hundreds of people through the same process. As an initial guide, we have explained the basics of how to get a business visa in Colombia.
What are the requirements to apply for a Colombian Business Visa?
Foreigners can apply for the visa type M Business if they are entrepreneurs with an investment of more than USD 32,500 Aprox in a Colombian organization.
The Business visa allows foreigners to accumulate time to be eligible to apply for the Visa type R: Residence, after 5 years of of being a holder of this visa, without interruption. The holder of this visa will have the benefit of accessing a Colombian Foreigners ID.
It is important to mention that the Government can grant this visa with a validity of up to 3 years and for the visa to remain valid, the foreigner cannot stay more than 180 continuous days outside Colombia nor can downgrade the shares they own from the Colombian organization with which they apply for the visa.
Following is the documentation that you need to present to the Colombian Government.
Colombia Business Visa Requirements
Passport
With a validity of more than 6 months.
Recent photograph
3 x 4 cm white background without accessories. Physical/printed photos are not accepted.
Application letter
The letter has to be signed by the Foreign Citizen.
Chamber of Commerce Certificate
Certificate that proves the foreigner has invested more than 32,500 USD in a Colombian organization, along with the foreign investment certificate issued by Banco de la República.
Supporting documents
Bank statements, Income tax returns, and other supporting documentation that proves the organization is running.
Certificate of shareholding composition signed by accountant
The accountant must present relevant information that certifies its professional background in Colombia and their disciplinary records.Colombian Accountant: What’s Needed?
As mentioned, to get a Colombian business visa, applicants with a new business idea need a certified accountant based in Colombia.
When applying for the Visa type M Business, applicants need their accountants to set up a shareholders composition certificate, detailing the company address, company name, and company NIT (Número de Identificación Tributaria) number. This must be completed before applying for the visa.
As well as this, the accountant will have to submit their own professional and personal ID, including a professional background check confirming their competency as a financial administrator.
Use a well-skilled accounting service agency that is knowledgeable in the shareholder composition certificate process.
What do you need to start a business in Colombia?
As a Foreigner, to start a business in Colombia you need to define a couple of things:
Select the Legal Structure or company type for the organization
Choose the appropriate legal structure for your business in Colombia, such as SAS (Simplified Stock Company), SA (Stock Corporation), or EU (Sole Proprietorship), based on your operational needs and liability considerations.
Draft the company bylaws
Prepare the legal document outlining the rules, structure, and operations of your company, ensuring compliance with Colombian law.
Obtain the N.I.T. (Numero de Identification Tributaria RUT)
The RUT is the Taxpayer’s Identification Number (TIN) in Colombia. Register with the tax authorities to get the company’s tax ID, which is required for any tax-related matters.
Register the organization at the Chamber of Commerce
Officially register your company with the local Chamber of Commerce to legally operate and conduct business activities in Colombia.
Open a bank account
Set up a corporate bank account in the name of the company, enabling financial transactions and ensuring proper management of business funds.
Register the Foreign investment at Banco de la República
If foreign capital is involved, report the investment to Banco de la República, the central bank of Colombia, to comply with regulations on foreign investments.
What are the different legal structures in Colombia?
Starting a business in Colombia requires certain actions. We highly recommend this guide we have created on How to do Business in Colombia.
As any other country, there are different corporate types or different company types in Colombia. The most common company types are:
S.A.S.
S.A.
E.U.
Take the first step in creating your company
We are prepared to help you realize your dream of starting a business in Colombia. While other types of companies may be suitable for different business models, these alternatives are quite uncommon. We recommend seeking assistance from an organization that can provide proper guidance to help you avoid potential roadblocks.
